Spectator on facebook

Spectator on facebook

Employment grows robustly

DESPITE relatively moderate economic growth, Slovakia recorded robust growth in employment last year, and this trend is expected to continue in the next few months, according to the Finance Ministry’s Financial Policy Institute (IFP) as well as the National Bank of Slovakia.

Illustrative stock photo(Source: Sme)

“In terms of a short-term prognosis, the forecast models expect employment growth of 0.4 percent and 0.5 percent, respectively, in the first and second quarters of 2015,” revealed IFP in its material published on April 27, adding that a conservative scenario involves growth of 0.2 percent and 0.3 percent, respectively.

IFP expects that employment in Slovakia would increase in the coming months mainly due to rising domestic consumption and growth of the gross domestic product (GDP), which has begun having a more pronounced influence on employment now that the effects of the crisis have largely disappeared.

The National Bank of Slovakia pointed in its prognosis to an increase in job vacancies to be followed by a rise in employment. The central bank predicts a quarter-on-quarter employment growth rate 0.2 percent.

“Current data on unemployment from employment offices and also the Slovak Statistics Office’s monthly statistics imply that this increase will be stronger,” said NBS analysts.

IFP analysts pointed out that a structural rupture in the relationship between GDP growth and employment has appeared. Economists earlier believed that at least 3-percent GDP growth would be necessary to make employment grow, but it has emerged in recent years that 1.5-percent GDP growth is enough for the number of jobs to increase.

Last year’s employment growth was based on three pillars – services requiring low qualifications, industrial and public sectors.

According to the NBS analysts, the seasonally adjusted unemployment rate in March decreased by 0.16 percentage points to 11.81 percent. The overall unemployment rate dropped more slightly to 13.46 percent. The seasonally unadjusted unemployment rate went down month-on-month by 0.26 points to 12.06 percent.

The processing of personal data is subject to our Privacy Policy and the Cookie Policy. Before submitting your e-mail address, please make sure to acquaint yourself with these documents.

Topic: Economics


Top stories

Rules for hiring foreigners are simpler. For exceptions

Despite positive changes, employers still point to some barriers preventing more effective and simpler recruitment of foreign workers.

Some problems with Foreigners’ Police continue.

For a Decent Slovakia protests to resume on Friday

After a summer break, organisers of the protests that have drawn masses to Slovakia’s streets stated that their – and the citizens’ – demands are far from being met.

For A Decent Slovakia march on June 22, 2018, in Bratislava.

News isn’t negative because journalists are cynical

The problem is caused by the demand side.

What is it like to study at a foreign college? Students explain to high-schoolers

Some Slovak students who study abroad already have work offers.

Students during the workshop